Over to You: Would you buy a car from a bankrupt company?

If not as inevitable as death and taxes, it looks like Government Motors is heading for bankruptcy.

The Detroit News is saying this morning that GM couldn’t convince enough of its bondholders to swap debt for a 10 per cent stake in the company. Apparently, this will push the automaker closer to a Chapter 11 bankruptcy filing by Monday, the deadline by which the automaker was required by the U.S. government to restructure and reach money-saving concessions with the United Auto Workers and bondholders.

Go figure. The number of bondholders who agreed to the swap was "substantially less" than the 90 percent mandated by the U.S. Treasury Department, which has loaned GM $19.4 billion.

So with Chrysler posting a similar filing at the beginning of this month, that’s two-out-of-three of the Les Detroit Trois that have lost control of their companies.

So, over to you, Crank crew: Would you buy a new car from one of these bankrupt automakers?

[Source: Detroit News]

Comments

[Sean Nakoneczny]

Our family vehicle is a GM product (07 Saturn VUE V6) and we're looking to go a bit bigger with 3 children and a dog that do a fair amount of camping and pull a pop-up trailer. I had a company supplied Pontiac G6 too. We've been very happy with both vehicles even though there are others in the same class that are better. We thought (Saturn) GM would be a good place to start looking (Outlook, Enclave, Traverse, Acadia) but, the uncertainty of GM's future steered us away. We checked out the Flex and it's now a serious consideration. Although Chrysler makes those nice roomy mini vans, it just isn't on the radar. Oh, my company switched to Honda Accord. Less power but more room.